The break-even point (also known as the break-even point) in the skilled trades refers to the point at which revenues cover costs and the business thus makes neither a profit nor a loss. It is an important controlling and financial planning tool, as it provides information on the point at which a profit can be made. The break-even point is calculated by determining the fixed costs and the variable costs per unit and then setting them in relation to the sales price. A regular review of the break-even point in the skilled trades is therefore essential in Job to be economically successful and to increase the profitability of the business.
